Potential acquirers are exploring buying the assets of blockchain companies Marco Polo and Symbiont, which still have operational blockchain platforms. Marco Polo’s active clients include Commerzbank and others, and Symbiont developed a blockchain platform for index data that Vanguard has been using for years.

Trade finance platform Marco Polo formally entered insolvency in Ireland two weeks ago, while blockchain fintech Symbiont filed for Chapter 11 in the United States more than three months ago. Both companies had systemically important banks as sponsors and clients.

In the case of Marco Polo, the largest shareholders were not banks, but ING, BNP Paribas and SMBC had significant holdings. Marco Polo raised $95 million and Symbiont $53 million before their bankruptcies.

Marco Polo attracts bidders

According to the Irish Independent newspaper, Marco Polo has several stakeholders in the company or its intellectual property. Ken Fennell and Andrew O’Leary of Interpath Advisory Services have been appointed as Marco Polo adjusters, and clients continue to use the software.

Marco Polo’s disappearance came after a $12 million investment proposal from one of his clients, Bank of America, fell through. However, given a consumption rate of $29 million in 2021, it’s unclear how long the $12 million would have lasted.

Symbiont’s first rescue attempt fails

When we last wrote about Symbiont in January, it had a bailout attempt on the table with an offer of $6 million in interim financing that we believe was tied to its president. However, the white knight had an extremely tight schedule to deliver the money, which he was unable to meet.

Symbiont had a single secured creditor, LM Funding, to whom it owed $2.3 million, so LM Funding is now in command.

Meanwhile, Symbiont was still working on projects with invoices issued to SWIFT and State Street in January, after the start of Chapter 11.

LM Funding had planned to switch from Chapter 11 for restructuring to Chapter 7, which involves liquidation. However, a letter to the court yesterday said it had agreed with Symbiont that a Director of Restructuring should be appointed to “assume the management and day-to-day operations” of Symbiont and facilitate the sale of assets. LM Funding will pay the bill. The only delay is proof of directors and officers (D&O) insurance policy.